Hello,
Unfortunately, it's urban legend, I have read this type of story about 10 times, each time a different flavor. Someone formatted his own pc via 127.0.0.1, sweet but ... well ...
Mrk

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That's quite possible. I've read some articles from softpedia that were discredited later as a hoax. I thought journalists checked their sources for accuracy before writing an article, for liability purposes? Old, naive me...